Buba's Weber paves way for rate hike

Axel Weber, the president of the Bundesbank, has said that the European Central Bank (ECB) must "act with determination" if the recent rise in inflation begins to impact wage settlements.

Weber, who sits on the rate-setting council of the ECB, told Euro, a German magazine that the current climate was "very unsettling" for a central bank targeting price stability. "Should price risks or second-round effects occur we need to act with determination," he said.

Several key industries in Germany, t